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Two illustrative development cases on a 10 MW base

The figures below are based on Phase 1 at 10 MW and an all-in power price of US$0.03/kWh, in Canadian dollars with approximate USD. They are illustrative project estimates, not guarantees.

Economics & Projections

Option A — Bitcoin Mining vs. Option B — AI Colocation

Both options benefit from Alberta's 23% combined corporate income tax, off-grid exemption from the data-center levy, and accelerated-depreciation tax deferral.

Basis
Phase 1 · 10 MW
Off-grid self-supply, County of Newell
All-in power
US$0.03/kWh
Estimate; varies with gas price
Option A payback
≈ 7.3 yrs
Self-mining Bitcoin, 42% EBITDA margin
Option B payback
≈ 2.1 yrs
AI colocation, 74% EBITDA margin

Option A · Self-mining BTC

Option A — Bitcoin Mining

Total CAPEX
C$26.9 M≈ US$19.6 M
Annual revenue
C$8.8 M
Annual EBITDA
C$3.7 M
EBITDA margin
42%
All-in power price
US$0.03/kWh
Simple payback
≈ 7.3 yrs

Revenue swings significantly with coin price and network difficulty. As of July 2026 hashprice is at a historic low, so a low power price is key to riding through the cycle.

Option B · AI/HPC colocation

Option B — AI Colocation

Total CAPEX
C$30.2 M≈ US$22.0 M
Annual revenue
C$20.0 M
Annual EBITDA
C$14.8 M
EBITDA margin
74%
All-in power price
US$0.03/kWh
Simple payback
≈ 2.1 yrs

Markedly better margins and payback, but first requires a signed client offtake and a secured GPU source.

Unit Economics

Where the returns come from

Compute and colocation revenue is approximately installed capacity × utilization × unit yield, with coin price or AI unit price setting unit yield.

Revenue drivers

Capacity × utilization × unit yield

Off-grid low power price creates the cost moat.

Cost structure

Gas · O&M · depreciation

Natural gas is the main variable cost, alongside labor, site rent and network bandwidth.

Investment framework

Capex + Opex → payback / IRR

Capex: gensets, hall and civil works. Opex: gas and O&M. Refinable via sensitivity analysis.

Tax & policy inputs

  • Corporate income tax: Alberta combined 23% (federal 15% + provincial 8%), the lowest in Canada; a provincial AT1 return is filed in addition to the federal T2.
  • Data-center levy: grid-connected ≥75 MW is levied 2%; this project is off-grid self-supplied and 10 MW < 75 MW, so the levy is 0.
  • Accelerated depreciation (CCA): power equipment Class 43 at 30% and computing / mining equipment Class 50 at 55% declining balance create early tax-loss carryforwards, deferring cash taxes.
  • Sales tax: Alberta has no provincial sales tax — only 5% GST, fully creditable as input tax.
  • Property tax: levied by the municipality as “designated industrial property” (land and buildings only, excluding computing equipment).

Investment Structure & Financing

Ways to partner

Open structures as set out in the project overview. We provide the site, approvals, integrated low-cost power, a live commissioned Phase 1 asset and a local engineering and O&M team.

Equity investment / project company

Participation in the project company through a layered structure of project-company equity plus convertible notes, modeled on the Alberta oil-royalty-fund framework, phased by segment and replicable.

EPC turnkey construction

Turnkey engineering, procurement and construction cooperation on the generation and hall build-out.

Compute colocation / rack leasing

Colocation of client compute or leasing of rack capacity in the modular halls, powered by off-grid self-generation.

Power-asset cooperation

Cooperation on the power asset itself, including gas supply and equipment resources.

Energy-asset tokenization (RWA)

Subject to compliance, an optional forward extension exploring tokenization of the power plant / compute assets or their cash flows as RWA for offshore qualified investors. This must go through securities registration or exemption. Token financing within mainland China is prohibited and no fundraising targets domestic investors. Not currently required.

What we provide

  • Site, approvals and integrated power.
  • Low-cost gas self-generation.
  • Local engineering and O&M team.
  • A live, commissioned Phase 1 asset.

What we seek

  • Project capital / strategic investment.
  • Compute orders and colocation clients.
  • AI compute and technology partners.
  • Gas supply and equipment resources.

Risks & Compliance

Key risk factors to evaluate

A summary of the risk areas identified in the project overview. This is not an exhaustive risk disclosure.

Market · coin price & difficulty volatility

Option A revenue is elastic to coin price and network difficulty. The hedge is a low power price plus efficient machines, or adding Option B to lock in cash flow. As of July 2026 hashprice is at a historic low.

Compute-market & offtake

Option B requires a signed client and a secured GPU source before it can be realised. Compute pricing and demand for AI capacity may change.

Regulatory · export controls

Procuring US-origin advanced GPUs (for example H200 / B300) adds US export controls (EAR) requiring separate compliance.

Permitting & emissions

Gas generation emits carbon; an emissions advisor must assess TIER / federal-backstop applicability (~40,000 t CO₂e/yr, below the 100,000 t mandatory threshold).

Construction & performance

Capacity and parameters are planned or under-testing figures; final values are per actual delivery. Delivery cadence, civil works and commissioning schedules may vary.

Commodity · gas price

Natural gas is the main variable cost. Returns should be refined by sensitivity to gas price, coin price and utilization.

Financing & cross-border tax

Financing depends on a structured project-company and convertible-note stack. Dividends to an offshore parent incur withholding tax, reducible under tax treaties (US–Canada / China–Canada); holding and financing structures should be designed by a cross-border tax advisor.

Begin a due-diligence conversation

Project examples and the underlying model are available at due diligence.

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